Nisa Investment Advisors LLC has enhanced its investment in Otis Worldwide Corporation (NYSE: OTIS) by a significant 16.0% during the first quarter of 2023. According to the firm’s most recent 13F filing with the U.S. Securities and Exchange Commission (SEC), Nisa now holds 116,687 shares of Otis, having acquired an additional 16,061 shares during this period. The value of Nisa’s holdings in Otis Worldwide reached approximately $12.04 million at the end of the quarter.
Other institutional investors and hedge funds have also made adjustments to their positions in Otis. For instance, Transce3nd LLC established a new position during the fourth quarter, valued at about $25,000. Similarly, NBC Securities Inc. and Aster Capital Management DIFC Ltd both purchased new stakes valued at approximately $25,000 and $28,000 respectively during the first quarter. Wayfinding Financial LLC and Flagship Wealth Advisors LLC followed suit with new positions worth $31,000 and $34,000 respectively. Currently, institutional investors and hedge funds collectively own 88.03% of Otis Worldwide’s stock.
Stock Performance and Dividend Increase
As of the most recent market opening, Otis Worldwide’s shares were trading at $99.98, reflecting a 0.6% increase. The stock has experienced a 50-day moving average of $97.04 and a 200-day moving average of $96.94. Over the past year, the company’s stock hit a low of $89.70 and a high of $106.83, with a market capitalization of $39.46 billion, a price-to-earnings (P/E) ratio of 26.24, and a beta of 0.98.
In addition to the increased investment, Otis Worldwide announced a quarterly dividend that has been welcomed by shareholders. The dividend of $0.42 per share was paid on June 6, 2023, representing an increase from the previous quarterly dividend of $0.39. The ex-dividend date was set for May 16, 2023, resulting in an annualized dividend of $1.68 per share, leading to a dividend yield of 1.68%. At present, Otis Worldwide’s dividend payout ratio stands at 44.09%.
Analyst Ratings and Future Outlook
Recent analyses from several equities research firms indicate varied perspectives on Otis Worldwide’s stock. The Royal Bank of Canada revised its target price from $109.00 to $105.00, maintaining an “outperform” rating. Contrarily, Wells Fargo & Company raised its target from $95.00 to $100.00, while Barclays set a lower target of $92.00 with an “underweight” rating.
JPMorgan Chase & Co. increased its target price to $101.00, suggesting a “neutral” rating, whereas Morgan Stanley adjusted its target from $97.00 to $105.00 under an “equal weight” rating. Currently, two analysts have issued a “sell” rating, four have a “hold” rating, and one has given a “buy” rating. According to MarketBeat.com, Otis Worldwide holds an average rating of “Hold” with a consensus target price of $102.86.
Otis Worldwide Corporation specializes in the manufacturing, installation, and servicing of elevators and escalators, with operations spanning the United States, China, and other international markets. The company operates in two primary segments: New Equipment and Service, focusing on designing, manufacturing, and installing various passenger and freight elevators, escalators, and moving walkways for diverse applications.
This strategic positioning and recent financial maneuvers highlight Otis Worldwide’s ongoing appeal to institutional investors, reflecting confidence in its future growth potential.
